2. The Number of U.S. Venture Firms:
Back to Rational Levels
Year
Number of
Active Firms
Capital
Managed
1970
28
$1B
1980
87
$4B
1990
96
$28B
2000
1,022
$220B
2010
462
$177B
2013
382
$203B
3. VC Raised $17B in 2013: Down but
hardly out
Year
Number of
Funds
VC Dollars
Raised
2009
159
$16.1B
2010
173
$13.2B
2011
186
$18.9B
2012
208
$19.5B
2013
186
$16.7B
4. VC Investment by Year
$120
$100
$105
B
$32
B
$60
$29.
4B
$40
Source: PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report,
Data: Thomson Reuters
4
2013
2012
2011
2010
2009
2008
2007
2006
2005
2004
2003
2002
2001
2000
1999
1998
1997
1996
1995
1994
1993
1992
1991
1990
$0
1989
$20
1988
$ Billion Invested
$80
5. VC Fundraising vs. Investment in
2013
Six consecutive years with a considerable gap
between venture capital fundraising and
dollars invested.
Is it an issue?
9. 2013 San Diego Metro VC Investment
by Industry
$ Funded
7%
4%
9%
51%
12%
17%
Biotech
Medical Devices
Software
Industrial/Energy
IT Services
Other
Source: PricewaterhouseCoopers/National Venture Capital Association MoneyTree™ Report,
Data: Thomson Reuters
9
10. 2013: More Life Sciences IPOs
than the prior 5 years combined
Source: Thomson Reuters/National Venture Capital Association
10
12. The future of venture capital
• Today, capital is essential to grow a company,
not necessarily to start it
• Tomorrow, better fund performance and returns
to LPs
• Venture Capital continues to fuel innovation in a
way unlike any other asset class
13. The Washington Environment
• Gridlock: Last year, Congress passed only 57
bills that got the President’s signature and
became law – lowest in history
• The obvious right thing to do is often widely
supported by elected officials, but it gets tangled
with other issues
• Immigration
• Tax Reform
• NVCA can and does make a difference
14. In Summary...
• Venture capital had a great 2013 and 2014 will
likely be even better
• Venture capital continues to play an important
role in the entrepreneurial ecosystem
• Washington is messy but necessary for the
innovation economy